Medical University, Faculty of Public Health, Department of Health Management and Health Economics, Plovdiv, Bulgaria
4th International Conference – ERAZ 2018 – KNOWLEDGE BASED SUSTAINABLE ECONOMIC DEVELOPMENT, Sofia- Bulgaria, June 7, 2018, CONFERENCE PROCEEDINGS published by: Association of Economists and Managers of the Balkans, Belgrade, Serbia; Faculty of Business Studies, Mediterranean University – Podgorica, Montenegro; University of National and World Economy – Sofia, Bulgaria; Faculty of Commercial and Business Studies – Celje, Slovenia; Faculty of Applied Management, Economics and Finance – Belgrade, Serbia, ISBN 978-86-80194-12-7
The aim of this study is to be presented and analyzed the trends of the household health expenditure dynamics and its source – the income considering the elasticity for the period 1990-2017. The elasticity is assessed trough OLS estimates of the slope coefficient of the linear health expenditure model built with income as an independent variable.
The results reveal the existence of low level of the income elasticity of the households health expenditure (it is estimated on 2% of the real income changings). This general finding could be explained with a common nature of the health goods which consumption are often imperative and cannot be delayed. Other factors like the crisis and transition to the social insurance financing with definite out-of-pocket payments could cause the relatively low income related elasticity measures.
household health expenditure, household income, health financing, income elasticity, crisis effects
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